In either case, the value of your AVCs, EDCs or transfers-in are added to the cash sum.

The cash sum will be tax free as long as the value of all cash sums from all of your pension schemes is less than the Lifetime Allowance.

When paying a cash sum, the Trustees will consider the information you give on your Expression of Wish form. For a copy, go to the Library. They will also decide if any of the money should provide pensions for one or more of your dependants, instead of being paid as a cash sum.

If you die as a deferred member but before you retire

The Trustees will use your account to buy a pension for your dependants or to provide a cash sum.

However, if you were made redundant, remain unemployed and die within 12 months of leaving, you will still be covered for death-in-service benefits, provided that you keep your account in the Plan.

If you die after you retire

If you die after your pension has started, the benefits your dependants receive will depend on the choices you made at retirement.

Payment of death benefits

The Trustees have the discretion as to how your death benefits are divided between your relatives, dependants, legal personal representatives or nominated beneficiaries. This way, payment can be made more quickly and the benefits are unlikely to attract inheritance tax.

However, they will consider your wishes if you have completed an Expression of Wish form and returned it to the Investor Plan team. For a copy, go to the Library. You should also consider keeping it up to date if your circumstances change – if you get married, register a civil partnership, separate or divorce, or have children. Even if you are unattached or do not have children, you may have family members or close friends you would want to benefit.